A Case Study in Behavioural Economics: Consumer Protection and Market Regulation in Mauritius (2010–2025)

This case study critically evaluates the integration of behavioural economics insights into consumer protection and market regulation in Mauritius, a prominent African financial hub. It addresses a significant research gap: while behavioural science is increasingly applied in developed economies, there is a paucity of rigorous analysis regarding its adaptation and efficacy within emerging African market contexts. The study posits that traditional regulatory models, predicated on assumptions of rational choice, are ill-equipped to mitigate pervasive cognitive biases—such as present bias and overconfidence—that exacerbate consumer vulnerability. Through a qualitative, longitudinal analysis spanning 2010 to 2025, this research employs document analysis and process tracing to examine key Mauritian regulatory initiatives. These include the redesign of simplified financial disclosures, the implementation of default rules for savings products, and ‘nudge’-based financial literacy campaigns. The analysis moves beyond descriptive reporting to offer a theoretically informed critique of the design, implementation, and measured outcomes of these interventions, considering their limitations and unintended consequences. Findings indicate that the deliberate application of behavioural insights, particularly post-2018, contributed to more nuanced regulatory frameworks, correlating with measurable improvements in consumer comprehension and a reduction in formal grievances within targeted sectors. The study concludes that behavioural economics provides a potent, culturally adaptable toolkit for African regulators, offering a replicable model for strengthening consumer protection and promoting inclusive economic development through more evidence-based and context-sensitive governance.